The Royal Academy of Arts (RA) is consulting on plans to make up to 60 roles redundant, around 18% of its workforce, as it attempts to improve its financial position.
The charity has said that it is making savings due to increasing costs and changing visitor behaviours, which have put pressure on its financial position.
Of the 60 roles that could be made redundant, almost half are currently vacant, with all levels of the organisation affected and impacts varying between departments.
Governing body the RA Council has approved the redundancy plans, while the charity’s wider membership of academicians has been informed.
No decisions have been taken as the charity undertakes a period of collective consultation.
Costs rise
According to the RA’s accounts for the year to August 2024, it recorded a more than £8m deficit as its income fell by over £5m to £38.1m and its cost increased by almost £10m to £46.6m.
Its income in 2023-24 was mainly affected by an almost £6m decline in funding for its Burlington Place development project.
The RA’s staff costs increased by over 50% year-on-year, with the charity paying a one-off £3.72m settlement cost in 2023-24 to purchase all the liabilities of its defined benefit pension scheme.
The charity reported in the accounts that it expected to make a net loss of £7.1m in 2024-25 without taking significant measures.
‘We have a robust plan’
Natasha Mitchell, interim secretary and chief executive, said: “Together with many in the arts sector, we are facing a serious financial challenge.
“We have a robust plan to improve the RA’s financial position and the proposal to reduce our workforce has been put forward after careful consideration.
“We understand the profound impact these proposed changes will have and we are committed to supporting affected employees through this transition.
“This is a challenging time for all involved, however it is our belief that these steps are critical for ensuring a sustainable future for the RA.”
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